Panama wants to be next energy hub

PANAMA CITY, Panama – Sometimes the real estate maxim "location, location, location" says more about politics than geography.

Panama wants to be an energy hub of the Americas. Occidental Petroleum of California, Qatar Petroleum of the Middle East and some European and South American investors are pondering whether to build refineries here – not just because Panama gives you easy access to both the Pacific and Atlantic oceans, but because Panama is saying yes to refineries when the United States says no.

Gasoline prices have shot up and down this summer largely because refineries haven't kept up with demand. Lingering maintenance requirements compounded by Hurricane Katrina damage have caused several shutdowns this summer. We import millions of gallons of gasoline every day, but demand from other parts of the world means there's not enough refining capacity.

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